Real Estate Owner in San Diego, New to BP

[Ross Y.]

Hi Everyone,

After following a few posts on here, I figured that I would introduce and throw myself into the community since everyone on here is quite warm to and eager to help out newbies and professionals alike. Maybe this will turn into a nice business venture for me since I already own property and I'm always looking for a deal. I'd like some thoughts from members on my current ventures, and can't wait to banter through future deals. Here is a quick financial snapshot of where I'm at from an investment stance.

Personal income is over 200K and I'm in my late 20's

Primary Home: Purchased home in Dec 2014 in San Diego, it's on  3/2 1938 sq ft home with non permitted 438 sq ft granny flat which I rent out for $1250 incl utilities. Granny flat has separate driveway and is fully detached. I built a fence around the back of it so they have a little yard, but It's nice cash flow for my primary. My wife and I screened the tenants VERY well to ensure a safety.

Please provide thoughts on the prop below:

Investment Prop: Currently in Contract for- 225K 882 Sq foot Condo w/ HOA's @ 270. Rents range in complex from 1400-1850 so with 10% Down, PITI & PMI= 1540. Reason for purchase is to own property in best School District in County (Poway Unified). Property is in Rancho Penasquitos if you're interested in the area, property will rent in a day. It's an REO and is priced fairly low for the area (least expensive condo within 10 mile radius). It needs around 5K in work to obtain mid-market rents (200 cash flow). My reasoning to purchase this property is to keep my kids in the SD it's in, Make a little bit of cash flow (rents are rising around 8.5% per year here), obtain debt paydown from renter, gain equity in this growth market, and continue to gain experience as a landlord. Also, I pounced on this one because I haven't been able to find many properties that can cash flow or break even with 10% down (i look almost every day).

In my searches, I've found quite a few MFR's that flow VERY WELL, but by the time I call a business colleague or friend for private money, pitch them and convince them, the property falls is already in contract; they go quick around here and w/ 25 down required, avg dp is 250K. I'd ultimately like to work with and meet with people that would like to act on a deal together (i'm also willing to put skin in the game). I look forward to interacting with the community and I'm eager to respond to member replies. :)

-Ross